Company Cases

What Are Company Cases?

Company cases are legal disputes or regulatory matters related to a company that are handled by courts, tribunals, or government authorities. These cases arise when a company, its directors, shareholders, or management violate laws, breach contracts, or have internal or external disputes.

1. Incorporation & Registration Cases

These cases occur when there are issues at the time of forming a company or errors in registration.

Examples:

• Using fake or incorrect documents to register a company
• Wrong details of directors or shareholders
• Illegal company name or business object

Handled by: ROC, NCLT

Result: Cancellation of registration, penalties, or legal action

2. Compliance & Regulatory Cases

These arise when a company fails to follow mandatory legal requirements under the Companies Act or tax laws.

Examples:

• Not filing annual returns with ROC
• Not holding Annual General Meetings (AGM)
• Non-payment of GST or Income Tax
• Violation of Companies Act, 2013

Handled by: ROC, Tax Departments, NCLT

Result: Heavy fines, late fees, director disqualification, prosecution

3. Shareholder Disputes

These happen when shareholders fight over rights, control, or management of the company.

Examples:

• Oppression of minority shareholders
• Illegal share transfers
• Non-payment of dividends
• Denial of voting rights

Handled by: NCLT

Result: Court orders, cancellation of transfers, compensation

4. Director & Management Disputes

These involve conflicts between directors or misuse of authority by management.

Examples:

• Illegal removal or appointment of directors
• Misuse of company funds
• Breach of fiduciary duties
• Unauthorized contracts

Handled by: NCLT, Civil Courts

Result: Removal of directors, penalties, criminal action

5. Fraud, Mismanagement & White-Collar Crimes

These are serious cases involving cheating, corruption, or financial crimes.

Examples:

• Siphoning off company money
• Fake invoices or shell companies
• Insider trading (for listed companies)
• Corporate scams

Handled by: SFIO, SEBI, CBI, Courts

Result: Jail, fines, attachment of property, ban on directorship

6. Contract & Commercial Disputes

These arise when a company breaches a business contract.

Examples:

• Non-payment to suppliers
• Violation of vendor or service agreements
• Failure to deliver goods or services

Handled by: Civil Courts, Arbitration Tribunals

Result: Compensation, damages, termination of contracts

7. Tax Cases (Income Tax / GST)

These arise due to disputes over tax payments or compliance.

Examples:

• Tax evasion
• Wrong ITC claims under GST
• Non-filing of tax returns
• Transfer pricing disputes

Handled by: Income Tax Dept., GST Dept., Tax Tribunals

Result: Penalties, interest, recovery, prosecution

8. Insolvency & Bankruptcy Cases (IBC)

These occur when a company is unable to repay its debts.

Examples:

• Default on bank loans
• Supplier payment defaults
• Insolvency petitions under IBC

Handled by: NCLT

Result: CIRP, change in management, liquidation of assets

9. Labour & Employment Cases

These arise from disputes with employees.

Examples:

• Wrongful termination
• Non-payment of salary or PF/ESI
• Sexual harassment complaints
• Violation of labour laws

Handled by: Labour Courts, Industrial Tribunals

Result: Reinstatement, back wages, penalties

10. Intellectual Property (IP) Cases

These involve misuse of a company’s intellectual property.

Examples:

• Trademark infringement
• Copyright violation
• Patent disputes

Handled by: Commercial Courts

Result: Injunctions, damages, seizure of goods